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Arizona residents, business owners, and churches, and any other property owner using leased solar equipment may soon be hit with new tax implications. This comes after the Department of Revenue’s new interpretation of existing tax laws and how it is to be interpreted to leased solar equipment.
Currently, owners of solar panels don’t pay property taxes due in part to a State exemption. That decision has since changed and no longer applies to leased solar panel equipment.
What does this mean for homeowners that have this equipment installed on their home or place of business? Well, at this point it’s unclear. Existing solar companies in the Phoenix, Arizona area claim that the expenses will sit with them as the owner of the equipment, and it will not be passed onto their clients at this point.
These companies that sell and provide this equipment are able to charge these taxes and pass along the cost to their customers, and it is a risk that clients take in using leased equipment. G&S Electric, Inc. still very much supports the use of solar, and the purchase decision behind owning it outright versus leasing has always been one that they have tried to educate the benefits of ownership options.
G&S Electric, Inc. continues to sell solar products that they are proud to stand behind, products that carry with them reliability, permanence, and warranties that are offered on the products rather than on the company that provides the leasing service.
Ownership of these units continue to make sense for homeowners as not only an investment into their electricity bills, but also their property values. The ownership of these systems is in fact an investment which value can be passed along in the sale of their property. Much like the leasing of vehicles, there are inherit benefits behind ownership of the products versus the leasing of the equipment.
For those who feel that leasing is a good option for them, G&S Electric, Inc. stands side by side in believing this new tax legislation is harmful to all Arizona residents.
For more information or help on gettingSolar products or services, G&S Electric are electricians in Phoenix, AZ that offer a range of products and services that can assist. Be sure to contact their office to see how they can help.
Release ID: 66297